UK's Carpetright secures funding ahead of equity raise

1 Min Read

LONDON, May 11 (Reuters) - Carpetright, the struggling British floor coverings retailer, said on Friday it has obtained a 15 million pounds ($20.3 million) shareholder loan to provide interim funding before a proposed 60 million pounds equity capital raising.

The loan is the second one provided by Meditor European Master Fund Limited, Carpetright’s biggest shareholder with just under 30 percent.

Meditor loaned Carpetright 12.5 million pounds in March.

Carpetright confirmed it expected to launch the equity raise on or around May 18.

Last month creditors and shareholders of Carpetright backed a restructuring plan that involves 92 store closures and up to 300 job losses. ($1 = 0.7398 pounds) (Reporting by James Davey, Editing by Paul Sandle)